IGL:NSEIndraprastha Gas Limited Analysis
Data as of 2026-06-10 - not real-time
₹162.50
Latest Price
5/10Risk
Risk Level: Medium
Executive Summary
Technical snapshot: The stock trades at ₹162.5, just below its 20‑day SMA of ₹159.84 but well under the 200‑day SMA of ₹184.45, indicating a longer‑term downtrend. RSI sits around 51.5 (neutral) while MACD is bullish with a histogram of 0.38. Support is near ₹149.61 and resistance around ₹169.90, with volume trending downwards.
Fundamental backdrop: Revenue grew 5.4% YoY to Rs 161.68 bn, yet Q4 profit fell 21% due to higher gas procurement costs and rising expenses. The company maintains a solid balance sheet (cash ₹43.1 bn, debt ₹0.98 bn, debt‑to‑equity 0.85) and pays a 2.9% dividend with a 43% payout ratio. Valuation is mixed: PE of 14.7 is below the industry average of 20.2, but a DCF fair value of ₹68.3 suggests the market may be overpricing the stock, while analyst targets imply ~20% upside. Recent news highlights a CNG price hike and margin pressure, adding short‑term headwinds despite a bullish long‑term demand outlook for city gas.
Fundamental backdrop: Revenue grew 5.4% YoY to Rs 161.68 bn, yet Q4 profit fell 21% due to higher gas procurement costs and rising expenses. The company maintains a solid balance sheet (cash ₹43.1 bn, debt ₹0.98 bn, debt‑to‑equity 0.85) and pays a 2.9% dividend with a 43% payout ratio. Valuation is mixed: PE of 14.7 is below the industry average of 20.2, but a DCF fair value of ₹68.3 suggests the market may be overpricing the stock, while analyst targets imply ~20% upside. Recent news highlights a CNG price hike and margin pressure, adding short‑term headwinds despite a bullish long‑term demand outlook for city gas.
Market Outlook
Short Term
< 1 yearCautious
Model confidence: 7/10
Key Factors
- Bearish technical positioning near resistance with decreasing volume
- Quarterly profit decline and margin squeeze from higher gas costs
- Recent CNG price hike likely to pressure demand temporarily
Medium Term
1–3 yearsPositive
Model confidence: 8/10
Key Factors
- Analyst target price suggests ~20% upside
- Strong cash generation and sustainable dividend yield
- Revenue growth and expanding gas volumes supporting earnings recovery
Long Term
> 3 yearsPositive
Model confidence: 7/10
Key Factors
- Strategic position in regulated city‑gas market with long‑term demand tailwinds
- Low beta and stable cash flows underpinning dividend sustainability
- Reasonable leverage and solid balance sheet provide resilience
Key Metrics & Analysis
Financial Health
Revenue Growth5.40%
Profit Margin9.59%
P/E Ratio14.7
ROE13.93%
ROA5.08%
Debt/Equity0.85
P/B Ratio2.0
Op. Cash Flow₹19.4B
Free Cash Flow₹3.3B
Industry P/E20.2
Technical Analysis
TrendBearish
RSI51.6
Support₹149.61
Resistance₹169.90
MA 20₹159.84
MA 50₹160.73
MA 200₹184.45
MACDBullish
VolumeDecreasing
Fear & Greed Index85.95
Valuation
Fair Value₹68.33
Target Price₹194.90
Upside/Downside19.94%
GradeOvervalued
TypeBlend
Dividend Yield2.90%
Risk Assessment
Beta0.32
Volatility29.42%
Sector RiskLow
Reg. RiskMedium
Geo RiskMedium
Currency RiskLow
Liquidity RiskMedium
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This analysis may contain inaccuracies and is provided for informational and research purposes only. It is not personal investment advice, a recommendation, or an instruction to buy, sell, or hold any asset.